Google and Meta Lead Massive AI Infrastructure Investments in the US

Data Centers Are 'AI Factories.' Google and Meta Are Spending Big Bucks to Build Them

Tech giants Google and Meta have a lot riding on the growth and success of AI, and to support those efforts, they're also committing significant sums of money to build the data centers they're going to need to run that power-hungry technology. On Tuesday, Google announced that it plans to invest $25 billion in data centers and other AI infrastructure tied to the PJM Interconnection, the biggest electric grid in the US. The PJM Interconnection reaches across 13 states in the eastern half of the US. The new data centers are expected to be in and around Pennsylvania. To help meet the energy demands of the new data centers, Google also said it will invest $3 billion in hydropower. That use of a renewable energy source fits in with Google's goal to become carbon-free by 2030. (Similarly, Meta is aiming to achieve net-zero emissions by 2030.) "I think there is a race on to co-locate data centers close to reliable, plentiful and inexpensive sources of energy," Ramayya Krishnan, professor of management science and information systems at Carnegie Mellon University's Heinz College. The advent of generative AI tools like ChatGPT, Google's Gemini and Meta AI are accelerating the demands on data centers, which also support everyday cloud computing tasks like photo sharing and movie streaming. "Data centers are a critical part of the AI production process and its deployment," said Krishnan. "Think of them as AI factories." Google already operates dozens of data centers worldwide. Google's announcement comes on the same day that President Donald Trump is attending an energy summit at Carnegie Mellon University in Pittsburgh at which investment in AI is a key topic. On Monday, Meta CEO Mark Zuckerberg said that his company will invests "hundreds of billions of dollars" in the computing needed to build superintelligence, a lofty aspiration to create AI that surpasses human capabilities. Zuckerberg said that Meta has "several multi-GW clusters" in the works. "We're calling the first one Prometheus and it's coming online in '26. We're also building Hyperion, which will be able to scale up to 5GW over several years." Earlier this year, Zuckerberg introduced one of Meta's newest data centers, a 2GW facility being built in Louisiana. These facilities could be mammoth. In a post on Threads, Zuckerberg showed the outline of a single data center that would cover "a significant part of the footprint of Manhattan." As the big new data centers get built, that could bring both opportunities and stresses to the communities near them In a recent Airedale by Modine survey of 600 Americans, 70% of respondents said they wouldn't mind living near a data center and remained hopeful that the facilities would positively impact their community. Among those who opposed data centers being built near their homes, their top concerns involved increased energy demand, noise pollution and hits to property value. Krishnan noted the potential pluses and minuses. Data centers could raise energy prices for residential customers if the energy supply is limited, and they also use significant amounts of water, which could create environmental concerns. "On the positive side," Krishnan said, "data centers could create an eco-system of partners increasing employment opportunities in the region and [consequential] growth."

Trump announces billions in investments to make Pennsylvania an AI hub

Among those investments include some multi-billion dollar commitments from Google. The company is planning to invest $25 billion to build data centers and AI infrastructure for the electric grid in the PJM region, according to remarks from president and chief investment officer Ruth Porat. It is also announcing a $3 billion US hydropower deal with Brookfield Energy. CoreWeave, a cloud computing company, announced plans to invest more than $6 billion to build a new data center "to power the most cutting-edge AI use cases" in Pennsylvania. Meta will invest $2.5 million to "support startups in rural Pennsylvania communities in addition to community accelerator training for small businesses," according to a fact sheet. Anthropic will commit $1 million over three years to support a program that provides cybersecurity education and an additional $1 million over three years to "support energy research at Carnegie Mellon University."

Some of the big US investments being made in AI and energy

WASHINGTON, July 15 (Reuters) - American companies rolled out a series of big ticket AI and energy investment pledges on Tuesday, part of a push by U.S. President Donald Trump to maintain America's edge in the booming technology sector. Here are some of the biggest announcements timed around the Energy and Innovation Summit at Carnegie Mellon University, which is expected to include $90 billion in investments in and around Pennsylvania. Alphabet (GOOGL.O), opens new tab-owned Google has struck a $3 billion deal with Brookfield Asset Management for electricity generated from two hydropower facilities in Pennsylvania. The tech giant will also invest $25 billion in data centers across Pennsylvania and neighboring states over the next two years, Semafor reported on Tuesday. Asset management firm Blackstone (BX.N), opens new tab plans a $25 billion investment in data centers and energy infrastructure in Pennsylvania, its President and Chief Operating Officer Jon Gray told a panel at the summit. On Monday Meta Platforms (META.O), opens new tab Chief Executive Mark Zuckerberg said his company would spend hundreds of billions of dollars to build several massive AI data centers, including a multi-gigawatt data center dubbed Prometheus, which is planned for Ohio. Cloud infrastructure technology company CoreWeave (CRWV.O), opens new tab plans to spend up to $6 billion on building a new artificial intelligence data center in Pennsylvania, the company said on Tuesday. The pledges come amid a surge in investments for AI startups, a sign that the field continues to thrive even as venture capital firms are struggling to raise money, a report from PitchBook on Tuesday showed. Reporting by Raphael Satter; Editing by Chizu Nomiyama Our Standards: The Thomson Reuters Trust Principles., opens new tab

Google to invest $25 billion in data centers and AI infrastructure across largest U.S. electric grid

Ruth Porat, President & Chief Investment Officer of Alphabet & Google, speaks during the Reuters NEXT conference, in New York City, U.S., December 10, 2024. Alphabet's Google will invest $25 billion in data center and artificial intelligence infrastructure over the next two years in states across the biggest electric grid in the U.S., the technology company said Tuesday. Google will also spend $3 billion to modernize two hydropower plants in Pennsylvania to help meet the growing power demand from data centers and AI in the region, according to the company. The refurbishment of the Pennsylvania plants is part of broader a framework agreement that Google signed with Brookfield Asset Management to purchase 3,000 megawatts of hydroelectric power across the U.S. Google's investments in the region comes as the PJM Interconnection is struggling to keep up with rising electricity demand from data centers and industry. PJM is the biggest electric grid in the nation, covering 13 states across the mid-Atlantic and parts of the Midwest and South. It includes the world's largest data center market in northern Virginia. President Donald Trump, White House Cabinet officials, tech and energy executives are meeting at Carnegie Mellon University in Pittsburgh on Tuesday to discuss AI investment in Pennsylvania.

Google to Unveil $25B AI Infrastructure Investment at Pennsylvania Energy Summit

Google is expected to announce the investments at the Pennsylvania Energy & Innovation Summit on Tuesday. Alphabet's (GOOGL) Google plans to invest $25 billion in artificial intelligence infrastructure in the Mid-Atlantic region and other areas over the next two years. Google will announce the investment at the Pennsylvania Energy & Innovation Summit on Tuesday, a spokesperson told Investopedia. President Donald Trump, Pennsylvania Gov. Josh Shapiro, and other lawmakers are expected to attend the event, which is being held at Carnegie Mellon University in Pittsburgh. Additionally, Google announced a deal to purchase $3 billion in hydroelectric power in the PJM electric grid region from Brookfield Asset Management (BAM). Google will invest in modernizing two Brookfield facilities as part of the deal, the companies said, which "supports Google's ambition to power its operations with 24/7 carbon-free energy." Ruth Porat, Alphabet's chief investment officer, is attending the energy summit. "Google's investments announced today will increase energy abundance and empower Americans with the skills needed to thrive in the AI era," Porat said in a statement. "We support President Trump's clear and urgent direction that our nation invest in AI infrastructure, technology, and the energy to unlock its benefits." Also attending the Pennsylvania Energy & Innovation Summit is CoreWeave (CRWV), which is expected to announce a $6 billion investment in a new AI data center in the state. Shares of Google were little changed in recent trading Tuesday. The stock is down 3% for 2025.

Google To Invest $25 Billion In Data Centers, AI Infrastructure Across PJM Grid - Alphabet (NASDAQ:GOOG), Alphabet (NASDAQ:GOOGL)

Alphabet Inc.'s GOOGL GOOG Google has announced a $25 billion investment in data center and artificial intelligence (AI) infrastructure across the PJM Interconnection grid. What Happened: Google's investment will be spread over the next two years and will be directed towards states within the PJM Interconnection, the largest electric grid in the U.S., reported CNBC. The company will also invest $3 billion to modernize two hydropower plants in Pennsylvania, targeting the growing energy needs of data centers and AI operations in the area. Check out the current price of GOOG stock here. This initiative falls under a larger framework agreement between Google and Brookfield Asset Management to acquire 3,000 megawatts of hydroelectric power across the United States. This investment comes at a time when PJM Interconnection, the nation's largest electric grid, is grappling with surging electricity demand from data centers and related industries. The grid covers 13 states across the mid-Atlantic, Midwest, and South, including northern Virginia, home to the world's largest data center market. SEE ALSO: Trump's '100% Tariff' Threat On 'Almost Nothing' Trade With Russia A Prescription For 'How To Sound Tough But Do Nothing,' Says Economist Why It Matters: This investment aligns with Google's recent efforts to bolster its AI capabilities. Just a few days ago, the tech giant finalized a $2.4 billion agreement to license technology from AI coding startup Windsurf. This deal also involved hiring Windsurf's CEO and a select group of its employees. Additionally, Google has been offering substantial salaries to software engineers to stay competitive in the escalating war for AI talent. Meanwhile, other tech giants are also making significant investments in AI infrastructure. Meta Platforms Inc. META recently announced plans to invest hundreds of billions of dollars into compute resources as it chases superintelligence. This underscores the growing importance of AI development in the tech industry and the fierce competition among major players. Trending Investment OpportunitiesAdvertisementArrivedBuy shares of homes and vacation rentals for as little as $100. Get StartedWiserAdvisorGet matched with a trusted, local financial advisor for free.Get StartedPoint.comTap into your home's equity to consolidate debt or fund a renovation.Get StartedRobinhoodMove your 401k to Robinhood and get a 3% match on deposits.Get Started On Tuesday, President Donald Trump will join White House Cabinet members along with tech and energy executives at Carnegie Mellon University in Pittsburgh to discuss AI investment in Pennsylvania. Alphabet offers average Momentum and Value, while scoring well on the Growth and Quality metric as per Benzinga's Proprietary Edge Rankings. READ MORE: Google's Android Chief Once Cold-Emailed Sergey Brin At 3 AM -- What Happened Next Changed His Career Forever Image via Shutterstock Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. GOOGAlphabet Inc$183.750.51%Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full ScoreEdge RankingsMomentum33.30Growth86.81Quality85.86Value52.30Price TrendShortMediumLongOverviewGOOGLAlphabet Inc$182.640.59%METAMeta Platforms Inc$724.770.53%Market News and Data brought to you by Benzinga APIs

Google, Meta and Others Pledge Billions of Dollars to Build AI Data Centers | PYMNTS.com

By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions. Google told PYMNTS Tuesday (July 15) that it plans to spend $25 billion on data centers and AI infrastructure in the PJM electric grid region over the next two years. PJM, a regional transmission organization, coordinates the movements of wholesale electricity in 13 states and Washington, D.C. The coverage area is from New Jersey to North Carolina and Illinois to the nation's capital. Google also inked an over $3 billion agreement with Brookfield Asset Management and Brookfield Renewal to modernize two of Brookfield's hydroelectric facilities in Pennsylvania, which represent 670 megawatts of combined capacity on the regional grid. Google launched an AI training program for workers and small businesses as well. It will start with Pennsylvania. "Google's investments announced today will increase energy abundance and empower Americans with the skills needed to thrive in the AI era," said Alphabet and Google President Ruth Porat in a statement provided to PYMNTS. A day earlier, Meta CEO Mark Zuckerberg wrote in a Facebook post that the company would invest "hundreds of billions of dollars into compute to build superintelligence." Compute refers to computational power, encompassing chips, servers and connectivity in data centers. Zuckerberg said Meta is building several multi-gigawatt clusters, with the first one called Prometheus coming online in 2026. The next one is dubbed Hyperion and will scale up to 5 gigawatts over several years. "We're building multiple more titan clusters as well," Zuckerberg said in the post. "Just one of these covers a significant part of the footprint of Manhattan." BofA analyst Justin Post said in a research report shared with PYMNTS that Zuckerberg's post means capital expenditures (capex) on AI are "far from over, and future capex growth is likely." He raised his projected capex for Meta by $6 billion to $229 billion from 2025 to 2027. Post said he also sees Zuckerberg's post as "reaching out to AI talent, further signaling Meta as a place that is focused on, and will provide resources for, AI innovation." Meta's data centers will serve the company's new superintelligence team, and Zuckerberg said in the Facebook post that his goal is to build "the most elite and talent-dense team in the industry." He reportedly has been poaching talent from rivals, offering compensation of up to nine figures. "Meta Superintelligence Labs will have industry-leading levels of compute and by far the greatest compute per researcher," Zuckerberg said in the post. To provide electricity for these facilities, Blackstone said it formed a joint venture with electric utility PPL to invest in new natural gas power generation facilities in the state. Blackstone said Pennsylvania offers low-cost energy and is home to 20% of the country's natural gas production. CoreWeave, which provides AI cloud computing services, announced Tuesday that it is committing $6 billion to equip a new data center in Lancaster, Pennsylvania, the heart of Amish country in the state. The facility will initially offer 100 megawatts, which could be expanded to 300 megawatts. CoreWeave will be the tenant of the AI data center.

Google to invest $25B in AI data centers across largest US electric...

Google will invest $25 billion in data centers across the nation's largest electric grid over the next two years to help power its big bet on artificial intelligence, the company said Tuesday. The tech giant's president and chief investment officer, Ruth Porat, was expected to join President Trump at an AI summit in Pennsylvania to announce the investment. "We support President Trump's clear and urgent direction that our nation invest in AI infrastructure, technology, and the energy to unlock its benefits so that America can continue to lead in AI," Porat said in a statement. The company will also spend $3 billion to revamp two hydroelectric plants in Pennsylvania with more than 670 megawatts of capacity as the industry races to keep up with growing power demand. The funding for those two facilities is part of a 20-year agreement Google signed with Brookfield Asset Management to purchase 3,000 megawatts of hydroelectric power across the US. Google will initially focus in the mid-Atlantic area and mid-continent markets, according to a Brookfield press release on Tuesday. "This collaboration with Brookfield is a significant step forward, ensuring clean energy supply in the PJM region where we operate," Amanda Peterson, head of data center energy at Google, said in a statement. "Hydropower is a proven, low-cost technology, offering dependable, homegrown, carbon-free electricity that creates jobs and builds a stronger grid for all." The PJM Interconnection - the largest electric grid in the nation - has been struggling to keep up with a spike in demand from power-hungry data centers. The grid covers 13 states across the mid-Atlantic, Midwest and South, including the world's largest data center market in northern Virginia. Trump is expected to announce $70 billion in AI and energy investments at the summit on Tuesday, according to Bloomberg. Other leaders in the tech industry have also been ramping up their AI investments. Mark Zuckerberg said Monday that Meta, which owns Facebook, Instagram and WhatsApp, will spend hundreds of billions of dollars to build several AI data centers - after the company poached top AI talent with some contract offers reportedlty in the tens of millions.

Some of the big US investments being made in AI and energy

WASHINGTON (Reuters) -American companies rolled out a series of big ticket AI and energy investment pledges on Tuesday, part of a push by U.S. President Donald Trump to maintain America's edge in the booming technology sector. Here are some of the biggest announcements timed around the Energy and Innovation Summit at Carnegie Mellon University, which is expected to include $90 billion in investments in and around Pennsylvania. Alphabet-owned Google has struck a $3 billion deal with Brookfield Asset Management for electricity generated from two hydropower facilities in Pennsylvania. The tech giant will also invest $25 billion in data centers across Pennsylvania and neighboring states over the next two years, Semafor reported on Tuesday. Asset management firm Blackstone plans a $25 billion investment in data centers and energy infrastructure in Pennsylvania, its President and Chief Operating Officer Jon Gray told a panel at the summit. On Monday Meta Platforms Chief Executive Mark Zuckerberg said his company would spend hundreds of billions of dollars to build several massive AI data centers, including a multi-gigawatt data center dubbed Prometheus, which is planned for Ohio. Cloud infrastructure technology company CoreWeave plans to spend up to $6 billion on building a new artificial intelligence data center in Pennsylvania, the company said on Tuesday. The pledges come amid a surge in investments for AI startups, a sign that the field continues to thrive even as venture capital firms are struggling to raise money, a report from PitchBook on Tuesday showed. (Reporting by Raphael Satter; Editing by Chizu Nomiyama )